Strategic Asset Management I, LLC Announces New Joint Venture in Student Housing
Strategic Asset Management I, LLC ("SAM") is excited to share that it has acquired the YOUnion@Fayetteville, a modern student housing development designed for the local university community. This venture, in collaboration with an affiliate of Virtus Real Estate Capital, aims to enhance the living conditions for students in this dynamic academic setting.
A Smart Investment in Quality Living
The YOUnion@Fayetteville was purchased for a strategic price of $72.25 million. This marks an important achievement for SAM, which has established itself as a prominent entity in the real estate market, particularly in student housing. The property offers 198 units and accommodates 589 beds, featuring a mix of one-, two-, three-, and four-bedroom fully furnished apartments.
Prime Location with Top-notch Amenities
You can't overlook the enviable location of the YOUnion@Fayetteville. Spanning an impressive 2.3 acres, the property is conveniently located right next to the university and is fully leased for the upcoming academic term. This is a big deal, ensuring that students will have access to quality housing that truly meets their needs.
Insightful Leadership and Vision
H. Michael Schwartz, the CEO of SAM, highlighted the importance of this acquisition, saying, “Our YOUnion Student Living brand represents best-in-class student housing owned and operated communities nationally. We are pleased to partner with Virtus, an experienced investor in the student housing sector, and look forward to a long-term, mutually beneficial relationship.” With this partnership, both companies are set to improve the living conditions for students.
Building Strong Community Connections
John Strockis, President and Chief Investment Officer of SAM, also shared his enthusiasm: “We could not be more pleased to partner with Virtus on our YOUnion@Fayetteville property. Our combined student housing experience, dedicated teams, and resources will greatly contribute to improving the YOUnion@Fayetteville resident experience for years to come.” This collaboration shows both companies' strong commitment to serving the student community.
Virtus Real Estate Capital's Dedication
Matt Powers, the Vice President at Virtus Real Estate Capital, added his thoughts on the acquisition, stating, “We are excited about our partnership with SAM and the opportunity to own one of the best-located assets in the Fayetteville market. YOUnion@Fayetteville perfectly embodies Virtus’ investment strategy of acquiring high-quality, pedestrian-to-campus assets at high-growth Tier I universities. We look forward to a successful collaboration that will enhance the living experience for our residents.” Virtus's expertise enriches this venture and underscores their commitment to providing quality student living.
Empowering Support from Advisors
To ensure the success of this joint venture, TSB Capital Advisors played an essential role by advising on the partnership and securing acquisition financing. Their knowledge in student housing is invaluable, ensuring both SAM and Virtus are well-equipped to achieve their objectives.
About Strategic Asset Management I, LLC
Strategic Asset Management I, LLC is a diversified real estate company that focuses on various sectors, particularly student housing and conventional multifamily housing. Established in 2004, SAM has successfully managed transactions totaling around $6 billion and has provided over $1.2 billion in equity and profits back to its investors.
About Virtus Real Estate Capital
Founded in 2003, Virtus Real Estate Capital specializes in the private equity management of real estate funds, with a focus on cyclical and resilient property sectors. The firm has effectively managed nearly 300 commercial properties, showcasing its expertise in key investment domains.
Frequently Asked Questions
What is the YOUnion@Fayetteville?
YOUnion@Fayetteville is a student housing property serving university students, offering a variety of fully furnished floor plans.
Why was the joint venture established?
The joint venture was formed to improve the quality of student housing by leveraging the strengths of both SAM and Virtus Real Estate Capital.
How many units are in YOUnion@Fayetteville?
The property consists of 198 units and can accommodate a total of 589 students.
What makes this property attractive to students?
Its prime location right next to the university and being 100% leased for the coming academic year makes it a highly sought-after option for students.
Who facilitated the financing for this acquisition?
TSB Capital Advisors managed the consulting for the joint venture and arranged the financing necessary for the acquisition.
